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A Company's last dividend was $1.35. Its dividend growth rate is expected to be constant at 6.0% forever and the stock price is $50. The

A Company's last dividend was $1.35. Its dividend growth rate is expected to be constant at 6.0% forever and the stock price is $50. The flotation cost on any new stock issue will be 10%. The companys tax rate is 40%. What is cost of retained earnings for this company?

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